Ways Technology impacts those in need and those who meet needs

December 11, 2006 Ed Granger-Happ, CTO

Thesis

Technology is a key capacity building service for effective communications, operations and strategic impact on poverty in the world as it moves from organization facing to beneficiary facing applications.

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World population is growing World Population - 1990-2010 Average Grow th Rate Per Year: 1.3%

7,000,000,000 6,000,000,000 5,000,000,000 4,000,000,000 3,000,000,000 2,000,000,000 1,000,000,000 0 19 90 19 92 19 94 19 96 19 98 20 00 20 02 20 04 20 06 20 08 20 10 Source: U.S. Census Bureau, International Data Base 3

Poverty is growing faster People Living on Less than $2/day (millions) Average Grow th Rate Per Three Years (Excluding China): 4.5%

3,000 2,500 2,000 1,500 1,000 500 0 1981 1984 1987 1990 1993 1996 1999 2001 Total Excluding China Source: The World Bank Group: World Development Indicators Linear ( Excluding China ) 4

In Africa it’s worse Sub-Saharan Africa-Population vs. Poverty (living on less than $2/day) (in millions) Average Population Grow th Per Three Years: 10.7% Average Grow th in Poverty Rate Per Three Years: 8.7%

800 600 400 200 0 1981 1984 1987 1990 1993 1996 Population Poverty Source: U.S. Census Bureau and World Bank Linear (Population) 1999 2001 Linear (Poverty) 5

Donations are growing but it’s not enough Total $$ Raised by the Philanthropy 400 Charities (in billions) Average Grow th Rate Per Year: 7.3%

$70.00

$60.00

$50.00

$40.00

$30.00

$20.00

$10.00

$0.00

1997 1998 1999 2000 2001 2002 2003 2004 2005 Source:

The Chronicle of Philanthropy,

Oct 26, 2006 6

What can we do?

• There is a clear and compelling need for greater effectiveness, efficiency, and capacity building.

• Scaling up: what capacity building do we need to overcome poverty growth?

• Technology is required for these quantum leaps in impact. 7

Leveraging IT 1. Strategic Applications Used by Beneficiaries

USP Literacy Program; Bolivia Education Program

2. Program Delivery: Work Flow Applications

SCM, GMS, GetActive, New RE, etc.

3. Revenue/Donation Delivery: Work Flow Applications II

GMS, GetActive, DMS, etc.

4. Infrastructure: “Keeping the Lights On”

Desktop PC’s, Email, Internet, Servers, Communications, NetHope

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In US rural communities more children are reading at grade level

6% 5% 4% 3% 2% 1% 0%

Children Reading at Grade Level-% change from Beginning to End of School Year

5.5% 5% 4% % change-2004 % change-2005 % change-2006

Source: Save the Children

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Jones Fork Elementary School Mousie, KY.

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In Bangladesh PDAs are delivering capacity gains Comparison of Three Processes For Food Distribution 39% Efficiency gain from Manual to PDA Process

192,000 Beneficiaries.

Source: Save the Children

250 200 150 144 164 100 50 0 Manual only process-8 hr day Manual+laptop process-8 hr day 200 PDA process-8 hr day 11

Food distribution center in Bangladesh

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In Bolivia the gain is 57%

Source: Save the Children

0.500

0.400

0.300

0.200

0.100

0.000

Minutes Expended for Transcription Per Beneficiary Per Month 57% Efficiency Gain using PDAs

0.460

0.197

Manual PDA

18,000 beneficiaries

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Bolivia Food Distribution Records

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Connectivity is Foundational

• • • Network infrastructure: NetHope Connecting the field workers (inward) – Connecting the poor (outward) Bangladesh - pay cell phone cottage industry that Muhammad Yunus’ Grameen Bank has incubated among poor women – Costa Rica - elimination of fraud by connecting farmers to the on-line port of export prices.

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There is an interesting relationship between connectivity and poverty For Most Regions Increasing Bandwidth is correlated with decreasing poverty

U.S. Census Bureau and Telegeography Global Bandwidth report 1,200 1,000 800 600 400 200 0 120 100 80 60 40 20 0 S ou th A S si ub a -S ah ar an A La fri tin ca A m er ic a & C ar E ib ur b.

..

op e & C en tra l A si a 2001 Population GBPS 16

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Save the Children www.savethechildren.org

A Bias for Action

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A generic nonprofit business model – opportunities for app’s

Beneficiaries Impact Programs Donors 20